Markets downplay Thai coup

The Thai coup on 23 May shocked many outsiders but the country’s historical record of the last two decades suggests there isn’t too much cause for alarm for investors. This is Thailand’s 12th coup since 1932 and may mark an attempt to re-start the political process. In the last two coups, in 1991 and 2006, a restoration of a democratic political process has taken around 450 and 570 days, respectively. In the interim, there has been no collapse of domestic activity or a financial crisis. However, the latest military intervention could face greater political headwinds and leaves investors with less room for complacency.

Aninda Mitra, senior sovereign analyst, Standish

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